rotary engine has hydrolocked and i have been told that in order to clear the hydrolock that I need to remove the fuse from the fuel pump and crank the engine over for about 30 seconds then put the fuse back in and try and start the car. Is this true and if so, where is the fuse located?

 

Try one of these links. It's been awhile since I've read through them, but I think your answer is in one of them. I've never had this issue with my 8, so I can't say what the best method is to correct the problem.

http://www.rx8club.com/showthread.php?t=17498

http://www.rx8club.com/showthread.php?t=210485

http://www.rx8club.com/showthread.ph...ighlight=flood

 

hydrolock is when there's too much moisture in the combustion chamber, making it non-compressable, and you can't crank the engine... You seem to be talking about flooding - just too rich of a fuel mix to start up.

This is a leftover issue from the first fuel injected roatries, you need to keep fuel from being injected - which could be pulling the fuel pump fuse or disabling the fuel injectors.
The problem is unless you have a schematic to see what fuses drive what, you may run into an issue where pulling one of the fuses also disables spark - which would also keep it from firing up.
With my GSL-SE (yes it's an 80's model but has the same issue) one of the ignition coils could be disconnected, crank the engine and it would fire just for a second then die. If the coil was reconnected right when it fired up it would start normally.
This "function" is what you should be able to do by disconnecting the fuel pump or one of the spark coils... though i'm not sure how the system is set up, but once you find a solution of what circuit to turn off to get it to start up i'd suggest adding a momentary switch to do that job so you don't need to keep unplugging a fuse or whatever each time it needs to be unflooded.

Good luck.